On February 18, 2015, the IRS released Notice 2015-17 addressing five issues regarding employer payment plans (EPP) and providing limited transitional relief for small employers reimbursing employees for individual health insurance premiums.
Notice 2015-17 provides guidance and clarification on EPPs and the reimbursement of individual premiums. EPPs are considered to be group health plans when more than one eligible employee is entitled to reimbursement, and the Affordable Care Act (ACA) reforms apply to EPPs as group health plans.
* Reimbursement for Medicare TRICARE premiums is offered for Part A, B, D and/or TRICARE only if employees are enrolled in these plans, where EPPs limit some premium reimbursements.
Businesses still using EPPs should reach out to an advisor as soon as possible to determine the necessary steps towards compliance with the Federal requirements, as outlined in Notice 2015-17.
PAYDAY Workforce Solutions provides a single database SAAS solution for Human Capital Management (HCM) including payroll, human resources, time management, benefits administration and onboarding to companies of all sizes and in various industries.
625 The City Drive South, Suite 250
Orange, CA 92868